Kerzner Extends Note Offer

PARADISE ISLAND, The Bahamas -- (PRESS RELEASE) -- Kerzner International Limited (NYSE:KZL), through its subsidiaries, a leading international developer and operator of destination resorts, casinos and luxury hotels, and its wholly owned subsidiary, Kerzner International North America, Inc. ("KINA"), announced today that they have extended the expiration date of the tender offer and consent solicitation relating to their 6 3/4% Senior Subordinated Notes due 2015 to 5:00 p.m., New York City time, on August 31, 2006, unless extended to a later date or terminated. As of 5:00 p.m., New York City time, on August 30, 2006, tenders of and consents with respect to approximately 98.7% of the aggregate outstanding principal amount of their notes were received, according to The Bank of New York Trust Company, N.A., the Depositary.

The tender offer to purchase any and all of their outstanding notes is being made pursuant to an Offer to Purchase and Consent Solicitation Statement (the "Statement") and a related Letter of Transmittal and Consent, each dated August 1, 2006. In conjunction with the tender offer, the Company and KINA are soliciting consents to proposed amendments to the indenture governing the notes that would eliminate substantially all of the restrictive covenants and certain events of default and related provisions contained in the indenture governing the notes. Holders that tender their notes will be required to consent to the proposed amendments, and holders that consent to the proposed amendments will be required to tender their notes. Except for the extension of the expiration date, all terms and conditions of the tender offer and consent solicitation are unchanged and remain in full force and effect.

Tenders of notes made after 5:00 p.m., New York City time, on August 15, 2006, may be withdrawn at any time until 5:00 p.m., New York City time, on the expiration date for the tender offer.

The tender offer is conditioned upon consummation of the acquisition of the Company by an investor group and a minimum tender condition, as well as other general conditions.